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Parenting -- Special Concerns
Reply to "Talking engagement and find out boyfriends deal with EXwife"
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[quote=Anonymous]Actually, I think if your BF is only paying 22%, he got a GREAT deal. Typically, assets accrued during marriage are split 50/50. From what it sounds like, your BF's ex-wife was the sole financial support for the family for 4 years while he worked to get the business of the ground. Then they were married for awhile after that. She most likely would have gotten a court-order for half the business in the divorce proceedings. It doesn't matter whether it was your boyfriend's "idea" or whatever. The court doesn't look at it like that. Marital assets accrued during the marriage are split 50/50. Many family-owned businesses have trouble like you describe -- a split in the family means that the business must be divided as a marital asset, but often the business can't come up with the cash to buy one partner out so there has to be some other financial arrangement (loans, future earning stream, etc.). Your BF might rightly be grateful that instead of destroying the business by demanding 50% of the marital asset upon divorce, she agreed to less than half of her percentage ownership of the business per year of the income stream (i.e. the business was 50% hers, and she should in theory be entitled to 50% of the income stream per year until she is bought out, but since her ex-husband couldn't afford to buy her out she agreed to a smaller percentage of annual income stream in perpetuity.) [/quote]
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